Most of the payments attract TDS provisions. With the introduction of a provision to disallow the expenses in toto for failure to deduct tax at source, one has to be very careful of the compliance on this front. The proposed applicable TDS Rates are summarised below:

Partnership Firms are treated as separate assessable entities. The profits are allocated in terms of remuneration, interest on capital and share of profit. While the partners pay the tax on remuneration and interest, the tax on remaining profits is paid by the firm. There are limits for remuneration and interest. Maximum permissible deduction in respect of remuneration to working partners is as follows